CPC Chairman urges public to reduce non-essential travel and use fuel sparingly
The ongoing conflict in the Middle East has affected Sri Lanka’s fuel market with a hike in fuel prices as well as a call on the public to limit non-essential travel to help avert a possible fuel crisis.
Chairman of the Ceylon Petroleum Corporation (CPC), D.J. Rajakaruna has called on the public to reduce non-essential travel and use fuel sparingly in view of the energy challenges arising from the ongoing conflicts in the Middle East.
Rajakaruna warned that the current situation is serious and called on citizens to act responsibly until global conditions stabilize during a media briefing yesterday (10).
“This is not a normal situation; it is a very grave condition,” he noted while appealing to the public to collectively help manage the crisis by limiting travel, purchasing fuel only for essential needs and maintaining the lowest possible level of fuel consumption.
Rajakaruna also attributed the recent increase in fuel prices partly to panic buying across the country and noted that excessive fuel purchases over the past few days, driven by fears of a potential shortage, had contributed significantly to the price surge.
Meanwhile, Managing Director of the Ceylon Petroleum Storage Terminals Limited (CPSTL), Mayura Netthikumara told the media that the recent fuel price increase was implemented to prevent a much larger hike later, as global fuel prices are expected to rise in the coming weeks.
“We usually increase prices by adjusting to the oil prices of the previous month. Although we have fuel stocks sufficient for 30 days, the prices of incoming fuel shipments for the coming month are rising sharply,” he said explaining the reasons for the increase in fuel prices.
Netthikumara further said they expect to manage the fuel stocks currently in possession carefully to normalize the prices. “We adjusted the prices to prevent a much larger increase at once and to use the available stocks carefully, distributing them across the month. We also hope to control hoarding situations, prevent queues from forming, and create the background for the public to obtain fuel at one price over a long period.”
“If world market prices fall, within the next few days we will definitely be able to reduce our fuel prices,” he noted.
The Cabinet of Ministers meanwhile has approved a proposal to establish an Economic Monitoring Committee chaired by State Minister of Finance, Dr. Anil Jayantha Fernando, to evaluate and respond to potential risks arising from the ongoing conflict in the Middle East.
The government has noted that Sri Lanka, as a small open economy, is particularly vulnerable to external shocks due to its reliance on energy imports, remittances from migrant workers in the Middle East, and trade and investment ties with the region. The government also noted that instability could create adverse effects on the national economy.
The newly appointed committee will continuously monitor the situation, assess risks across different sectors, and recommend necessary policy measures. This initiative, presented by the President, aims to safeguard Sri Lanka’s economy against disruptions stemming from the volatile global environment created by the Middle East conflict.
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